2. Universality of Management: The principles and concepts of management have universal application.

It means that managerial knowledge may be transferred from one country to another and from one firm
to another within the same country. The concept of universality of management is, therefore, subject to
the following two connotations:
(a) Management principles can be successfully applied to different kinds of organisations such as
business enterprises, clubs, hospitals, and so on,
(b) Management principles are applicable to, different economic systems of the world. They have
worldwide utility.

3. MANAGEMENT is a SCIENCE or ART or BOTH

Management has developed certain principles and laws which have wide applications. So, it is treated as
a science. It is also an art, because it is concerned with the application of knowledge for the solution of
organizational problems.

MANAGEMENT AS SCIENCE
Science has been defined as a body of systematized knowledge, which establishes a relationship
between cause and effect. Such systematized knowledge contains concepts, hypotheses, theories,
experimentation and principles. Mere knowledge or collection of facts is not science. The knowledge so
gathered should be verifiable
Management has been given the shape of an organized body of knowledge. Its study helps in gaining a
rational approach to the development of means for accomplishing certain goals. That is why,
management is called a Science.

Science is characterized by following main features:

1. Universally acceptance principles – Scientific principles represents basic truth about a particular field
of enquiry. These principles may be applied in all situations, at all time & at all places.
Example: law of gravitation which can be applied in all countries irrespective of the time.
Management also contains some fundamental principles can be applied universally like the Principle of
Unity of Command i.e. one man, one boss. It provides that an employee is responsible to only one
supervisor, who in turn is responsible to only one supervisor, and so on up the organizational hierarchy.
This is true even if the top of the organization is led by a group of people. For example, imagine you are
the CEO of a technology firm in Silicon Valley. While the board of directors of your company governs the
policy making and strategic planning, under the concept of unity of command, you do not answer to all
members of the board, but only the chairman of the board.

2. Experimentation & Observation – Scientific principles are derived through scientific investigation &
researching i.e. they are based on logic.
E.g. the principle that earth moves around the sun has been scientifically proved.
Management principles are also based on scientific enquiry & observation and not only on the opinion
of Henry Fayol. They have been developed through experiments & practical experiences of large no. of
managers.
E.g. it is observed that fair remuneration to personnel helps in creating a satisfied work force.

3. Cause & Effect Relationship – Principles of science lay down cause and effect relationship between
various variables.
E.g. when metals are heated, they are expanded. The cause is heating & result is expansion.
The same is true for management, therefore it also establishes cause and effect relationship.
E.g. lack of parity (balance) between authority & responsibility will lead to ineffectiveness. If you know
the cause i.e. lack of balance, the effect can be ascertained easily i.e. in effectiveness.

4. Test of Validity & Predictability – Validity of scientific principles can be tested at any time or any
number of times i.e. they stand the test of time. Each time these tests will give same result. Moreover,
future events can be predicted with reasonable accuracy by using scientific principles.
E.g. H2 & O2 will always give H2O.
Principles of management can also be tested for validity.
E.g. principle of unity of command can be tested by comparing two persons – one having single boss and
one having 2 bosses. The performance of 1st person will be better than 2nd.

5. Concepts: Scientific approach requires a clear “concepts” of mental images of anything formed by
generalization from particulars. Managing has concepts to deal with situations.

Although management has been recognized as a science, it is not exact like the biological and physical
sciences. The main reason for the inexactness of science of management is that it deals with human
beings and it is very difficult to predict their behavior accurately. Since it is a social process, therefore it
falls in the area of social sciences. It is a flexible science & that is why its theories and principles may
produce different results at different times and therefore it is a behavior science. That is why Ernest
Dale has called management a ‘Soft Science’.

MANAGEMENT AS ART
Art may be defined as “the technique of applying the principles to actual practice so as to achieve the
desired results with efficiency.” It is concerned with the application of knowledge and skills. If science is
learnt, an art is practiced. It includes an individual’s own observation, experience, judgement, and
intuition.
Thus, an art has the following features:

1. Practical Knowledge: Every art requires practical knowledge therefore learning of theory is not
sufficient. It is very important to know practical application of theoretical principles.
Examples :
Learning how sing does not make you a musician; one must know all composition and be able to use
them. Similarly, A manager can never be successful just by obtaining degree or diploma in management;
he must have also know how to apply various principles in real situations.
by functioning in capacity of manager.

2. Personal Skill: Although theoretical base may be same for every artist, but each one has his own style
and approach towards his job. That is why the level of success and quality of performance differs from
one person to another.
E.g. there are several qualified painters but M.F. Hussain is recognized for his style. Similarly
management as an art is also personalized. Every manager has his own way of managing things based on
his knowledge, experience and personality, that is why some managers are known as good managers
(like Aditya Birla, Rahul Bajaj) whereas others as bad.

3. Creativity: An Artist’s work is not limited to his practical knowledge. He thinks outside the box and
creates things extraordinary. He aims at producing something that has never existed before which
requires combination of intelligence & imagination. Management is also creative in nature like any other
art. It combines human and non-human resources in useful way so as to achieve desired results.
Example : A creative musician tries to produce sweet music by combining chords in an efficient manner.

4. Perfection through practice: Practice makes a man perfect. Every artist becomes more and more
proficient through constant practice. Similarly, managers learn through an art of trial and error initially
but application of management principles over the years makes them perfect in the job of managing.

5. Goal-Oriented: Every art is result oriented as it seeks to achieve concrete results. In the same manner,
management is also directed towards accomplishment of pre-determined goals. Managers use various
resources like men, money, material, machinery & methods to promote growth of an organization. Thus,
we can say that management is an art therefore it requires application of certain principles rather it is an
art of highest order because it deals with moulding the attitude and behavior of people at work towards
desired goals.

6. Work effectively: manager manage all problem in every environment so this is not science, it is an art
that how he manage every problem of organization in every environment.

MANAGEMENT IS A SCIENCE AS WELL AS ART

Science teaches us to know while art teaches us to do. In order to be successful, managers have to know
and do things effectively and efficiently. This requires a unique combination of both science and art of
managing in them.
From the above discussion, it is clear that management is both a science and an art. It is considered a
science because it has an organized body of knowledge.
At the same time it is art because it requires perfection through practice, practical knowledge, creativity,
personal skills etc. Managing requires certain skills which are personal possessions of managers.
Science provides the knowledge & art deals with the application of knowledge and skills.
Science teaches one ‘to know’ and an art ‘to do’ hence science and art are complementary.
A manager is a scientist as well as an artist. As a scientist, he relies heavily on the existing knowledge
and develops new knowledge and principles. As an artist, he sometimes solely depends on his intuition,
guesswork and judgement. Just as a doctor uses his knowledge to cure his patients; a manager should
use his knowledge to solve the problems in managing men, materials, machines, methods, and money
The old saying that “Manager are Born” has been rejected in favor of “Managers are Made”. It has been
aptly remarked that management is the oldest of art and youngest of science. To conclude, we can say
that science is the root and art is the fruit.
4. Management is intangible: Management is abstract and cannot be seen with the eyes. It is evidenced
by the quality of the organization and the results. Thus, feeling of management is result-oriented.
e.g. if in an organisation, targets are met according to the plans, goals of an organisation are achieved
and employees are satisfied, in that case existence of management is noticeable and felt.
5. Management is a process: Management is a process which involves planning, organizing, directing
and controlling the efforts of human resources in the use of material resources. These are the basic
functions which every manager performs for the accomplishment of certain goals.
6. Management is Goal-oriented Process: The success of any management activity is assessed by its
achievement of the predetermined goals or objective. Management is a purposeful activity. It is a tool
which helps use of human & physical resources to fulfill the pre-determined goals.
For example, the goal of an enterprise is maximum consumer satisfaction by producing quality goods
and at reasonable prices. This can be achieved by employing efficient persons and making better use of
scarce resources.
7. Multidisciplinary approach: Management is multidisciplinary because it includes knowledge
/information from various disciplines- economics, statistics, math, psychology, sociology, ecology,
operations research, history, etc. Management integrates the ideas and concepts taken from these
disciplines and presents newer concepts which can be put into practice for managing the organizations.
(Example: how workers can be motivated (psychology), how production can be made better)
8. Relative, Not Absolute Principles: Management principles are relative, not absolute, and they should
be applied according to the need of the organization. A particular management principle has different
strengths in different conditions. Therefore, principles should be applied according to the prevailing
conditions.
9. Management is a Dynamic Function: Management is a dynamic activity as it has to adjust itself to the
regularly changing environment. In this context, it can be rightly said that nothing is eternal in
management.
Example: Mc Donalds made major changes in its menu to survive in Indian market.

SIGNIFICANCE OF MANAGEMENT
1. Optimal utilization/ Efficient use of resources.
2. Development of resources (human as well as material)
3. To incorporate innovation
4. Overcoming competition
5. Stability in the society
6. Giving importance to research and development
7. Aimed at increased profits
8. Ecological balance
Optimal utilization/ Efficient use of resources:
Management ensures optimum utilization of resources. Through planning and organization,
management eliminates all types of wastages and achieves efficiency in all business operations.
Management motivates workers to put in their best performance. This would lead to the effective
working of the business. If employees and machines are producing its maximum there is no under
employment of any resources.
Development of resources:
Management develops various resources. This is true with human as well as non-human factors.
Lawrence Appley has emphasized that management is the development of the people. However, most
of the researches for resource development are carried on in an organized way and management is
involved in these organized activities. Thus, through the development of resources, management
improves the quality of lives of people in the society.
Incorporate innovation:
Management also encourages innovation in the organization. Innovation brings new ideas, new
technology, new methods, new products, new services, etc. This makes the organization more
competitive and efficient.
Example: e-marketing, paytm, digitalization, Delhi govt's scheme for 'Doorstep delivery of services'.
Under the scheme, assistants will turn up at the doorstep of individuals willing to avail certain
government services and upload requisite documents online, ending the need for them to visit
government offices.
Overcoming competition:
Example: agni-5- a good competitor to china, Reliance jio shaken up its competitors by providing good
quality services at lower price.
Stability in the society:
Management provides stability in the society by changing and modifying the resources in accordance
with the changing environment of the society. In the modern age, more emphasis is on new inventions
for the betterment of human beings. These inventions make old systems and factors mostly obsolete
and inefficient. Management provides integration between traditions and new inventions, and
safeguards society from the unfavourable impact of these inventions so that continuity in social process
is maintained.
Stability can also be explained as retention of customers. Attracting customers/clients is relatively easy,
but retention equally difficult.
Example: Reliance jio phones at a price of 1500 not only attracted people with its special features at low
price, but also retained them.
Giving importance to research and development:
R&D (Research & Development) plays a very important role in the success of a business. It is the R&D
function that provides a platform for creativity and innovation to flourish in an organization.
R&D helps a business to have a competitive edge over its competitors. It is the R&D function that
develops plans much ahead other functions. The R&D function needs to have a clear foresight about
future problems that need solutions. R&D (in its development role) can act as a catalyst for speeding up
the growth of organization by way of introducing breakthrough products in the market.
R&D is very relevant in today’s competitive scenario when customers are hankering after new products
and new technologies. The firm that can successfully leverage its R&D efforts by translating the efforts in
building new products will find itself ahead of its competitors. Expenses on R&D can be considered not
as expenditure but as an investment.
All the modern inventions –laptops, palmtops, music players, iPods, mp3players, automatic washing
machines, dishwashers, water filters are all examples of R&D efforts that had a successful outcome.
Who would have thought that mosquitoes would provide an opportunity for new product development
in the form of mosquito mats, repellent creams, vaporizers etc.
Digital photography has made the conventional technique redundant. Computers have confined the
typewriters to the museum.
Sometimes R&D efforts are also necessitated to meet the regulatory norms eg: green technologies that
reduce pollution. Hybrid cars, electric cars, catalytic converters in cars are examples of successful R&D
efforts.
R&D function can reasonably predict future technology trends. In an environment filled with resource
constraints, R&D efforts in the right direction will enable allocation of scarce resources for the right
purpose.
Aimed at increased profits:
The main objective of management is to secure maximum outputs with minimum efforts & resources.
Management is basically concerned with thinking & utilizing human, material & financial resources in
such a manner that would result in best combination. Management ensures smooth and coordinated
functioning of the enterprise.

The objective of management is to maximize profit but it must be done by respecting moral and ethical
values as well.

We cannot just think of maximizing profits and disregard important factors as human issues,
environmental issues and social impacts.

Ecological balance:
Green marketing, hybrid cars should be given more importance but their cost is relatively high.